Osmotica Pharmaceuticals plc Announces Proposed Underwritten Public Offering

Rhea-AI Summary

Osmotica Pharmaceuticals plc (Nasdaq: OSMT) has initiated an underwritten public offering of its ordinary shares and warrants. The company is granting the underwriter a 30-day option to purchase additional shares or warrants, which equals 15% of the offering size. The offering is contingent upon market conditions, with no guarantee on completion or specific terms. H.C. Wainwright & Co. serves as the book-running manager. A shelf registration statement has been filed with the SEC, allowing for the public offering to be conducted through a prospectus supplement available on the SEC's website.

Positive

• The public offering allows Osmotica to raise capital for growth and product development.
• The underwriting option could provide additional funding if exercised.

Negative

• Issuing new shares may lead to shareholder dilution.
• Market conditions are uncertain, which could affect the successful completion of the offering.

BRIDGEWATER, N.J., Oct. 06, 2021 (GLOBE NEWSWIRE) -- Osmotica Pharmaceuticals plc (Nasdaq: OSMT) (“Osmotica” or the “Company”), a specialty pharmaceutical company, today announced that it has commenced an underwritten public offering of its ordinary shares and warrants to purchase its ordinary shares. In addition, Osmotica expects to grant the underwriter of the offering a 30-day option to purchase additional ordinary shares and/or warrants to purchase ordinary shares (equal to 15% of the ordinary shares and/or 15% of the warrants offered in the public offering) at the public offering price per share and per warrant, respectively, less the underwriting discounts and commissions. The offering is subject to market and other conditions, and there can be no assurance as to whether or when the offering may be completed, or as to the actual size or terms of the offering.

H.C. Wainwright & Co. is acting as the sole book-running manager for the proposed offering.

A shelf registration statement on Form S-3 (File No. 333-236193) relating to the securities being offered was filed with the U.S. Securities and Exchange Commission (“SEC”) on January 31, 2020, and became effective on February 12, 2020. The offering will be made only by means of a prospectus supplement and accompanying prospectus that form a part of the shelf registration statement. A preliminary prospectus supplement and accompanying prospectus relating to the proposed public offering will be filed with the SEC and will be available on the SEC's website, located at www.sec.gov. Electronic copies of the preliminary prospectus supplement and accompanying prospectus may also be obtained, when available, by contacting H.C. Wainwright & Co., LLC, 430 Park Avenue, New York, NY 10022, by email at placements@hcwco.com or by phone at (212) 856-5711. Before you invest, you should read the preliminary prospectus supplement and accompanying prospectus and the other documents that Osmotica has filed with the SEC for more complete information about Osmotica and the proposed offering.

This press release shall not constitute an offer to sell or the solicitation of an offer to buy these securities, nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.

About Osmotica Pharmaceuticals plc

Osmotica Pharmaceuticals plc (Nasdaq: OSMT) is a specialty biopharmaceutical company focused on the development and commercialization of products that target markets with underserved patient populations. RVL Pharmaceuticals, Inc. is the Company’s ophthalmic subsidiary supporting UPNEEQ^®.

Osmotica has operations in the United States and Hungary.

Forward Looking Statements

This press release includes statements that express the Company’s opinions, expectations, beliefs, plans, objectives, assumptions or projections regarding future events or future results and therefore are, or may be deemed to be, “forward-looking statements.” The Company’s actual results may vary significantly from the results anticipated in these forward-looking statements, which can generally be identified by the use of forward-looking terminology, including the terms “believes,” “expects,” “may,” “will,” “should,” “seeks,” “projects,” “approximately,” “intends,” “plans,” “estimates” or “anticipates,” or, in each case, their negatives or other variations or comparable terminology. These forward-looking statements include all matters that are not historical facts, such as statements regarding the consummation and the terms of the proposed public offering. By their nature, forward-looking statements involve risks and uncertainties because they relate to events and depend on circumstances that may or may not occur in the future. The Company may not achieve the plans, intentions or expectations disclosed in these forward-looking statements, and you should not place significant reliance on these forward-looking statements. Actual results or events could differ materially from the plans, intentions and expectations disclosed in the forward-looking statements the Company makes. Important factors that could cause actual results and events to differ materially from those indicated in the forward-looking statements include market and other conditions and the risks and uncertainties described in the “Risk Factors” section of the Company’s Current Report on Form 8-K, as filed with the Securities and Exchange Commission on September 8, 2021, under the heading “Risk Factors” included in the preliminary prospectus related to the proposed public offering filed with the Securities and Exchange Commission and the other filings that the Company makes with the Securities and Exchange Commission. These forward-looking statements speak only as of the time of this release and the Company does not undertake to publicly update or revise them, whether as a result of new information, future events or otherwise, except as required by law.

Investor and Media Relations for Osmotica Pharmaceuticals plc

Lisa M. Wilson
In-Site Communications, Inc.
T: 212-452-2793
E: lwilson@insitecony.com 

FAQ

What is the size of Osmotica's public offering?

The size of the offering has not been disclosed and is subject to market conditions.

Who is managing the public offering for Osmotica Pharmaceuticals?

H.C. Wainwright & Co. is acting as the sole book-running manager for the offering.

How can investors access the prospectus for the public offering?

Investors can access the prospectus on the SEC's website or by contacting H.C. Wainwright & Co.

What impact could the public offering have on Osmotica's stock price?

The offering could lead to stock dilution, which might negatively affect the stock price.